App Store Numbers Hit 7-Year Low

New data shows that the number of apps available from Apple's App Store hit a seven-year low in Q3 2022. As the number of apps decreases, what does this mean for brands, organizations, and consumers? Are apps becoming less popular or influential, or is Apple simply getting better at decluttering?

App Store numbers in decline

New statistics published by Finbold revealed that App Store numbers are in decline. Between Q2 and Q3, the number of apps available to download fell to 1,642,759. This represents a decrease of 24.79% and is the lowest figure since Q3 2015. The number of apps available to Apple customers peaked at 2,226,823 in Q1 2021. Prior to the sudden loss of over 540,000 apps between Q2 and Q3 2022, numbers had been steadily increasing for the last 12 months. App Store remains in second place in the list of top global app platforms behind Google Play. Amazon's Appstore sits in third place.

The obvious question to ask when reading the headlines is 'Why?' The most significant factor is Apple's commitment to tidying up the App Store and eliminating old apps that haven't been updated for a long time. Apple is known for doing an annual clear-out, but the scale of this recent purge has produced much larger figures than previous decluttering missions. This could be due to changes in policy, which are designed to enhance user experience and ensure customers have access to functional, useful apps that are updated frequently. Apple didn't specify a deadline for updates previously, but now, the guidelines recommend a maximum period of 30 days for updates. In Q2 2022, Apple eradicated over 400,000 apps, 60% of which hadn't been updated for 2 years.

What do the numbers mean?

There are two key considerations to take into account when evaluating app store numbers. Firstly, it is not a surprise that Apple has removed a large number of apps due to policy modifications and revised guidance, which recommends frequent updates. Secondly, is there any link between app numbers and falling revenues? Analysts suggest that lower revenues are not a by-product of removing apps. The most important contributor to decreased revenues is likely to be games and investment in software. The cost of living is rising and inflation rates are high, and this may mean that many customers think twice about making purchases.

Are apps still important?

Declining app numbers and revenues may be deemed a warning light by some, but most surveys and polls indicate that apps have become more popular. There are now more than 7 billion smartphone users in the world and almost 90% of the time we spend on mobile devices is taken up by browsing and using apps. Over 20% of millennials open an app at least 50 times per day. Screen time is increasing and app use is high among younger generations, which suggests that apps will remain relevant for some time.

The most popular apps in 2022 include TikTok, Instagram, Facebook, WhatsApp, and Telegram. Occupying the top 5 places, these social apps highlight the influence and reach of social media. Social media apps are beneficial for individuals who want to keep in touch with friends and family, but they're also fantastic tools for brands and businesses looking for new customers. Social media offers an incredible platform to promote products, raise brand awareness and find buyers and clients.

For businesses, producing an app offers multiple advantages. If you run a company and you don't already have an app, you can click here to find out more, but it's worth learning about the potential benefits of offering customers the opportunity to download your app. Apps occupy prime real estate on smartphone screens and they can also help brands to gain a competitive advantage. Users spend a lot more time on apps than on websites and they provide a superior experience. Brands can work with developers to customize apps and add features to optimize the user experience and improve lead conversion rates.

In a world where most people are up against the clock, using apps can also save time, effort, and energy, which is key for consumers. If a customer wants to make a purchase or find out more about a promotion, for example, all they have to do is tap the icon. Customers can browse and buy within seconds without needing to open a browser, use Google to find links, or go through lengthy registration processes. Apps also offer extras that you can't take advantage of on websites.

How to promote apps

If you invest time and money into developing an app for your brand or organization, it's natural to want to recoup your money and boost leads and sales. Creating an app is only part of the mission. The next stage is to encourage users to download and use it. This can be challenging, as over 90% of people dislike being forced into downloading an app to make a purchase. Over 70% of customers have abandoned carts because they didn't want to install an app. It's wise for businesses to take data and consumer trends and behaviors into account when trying to promote and sell apps. Being flexible, offering customers a choice, and providing incentives can all help to boost app downloads. Many brands offer exclusive deals or discounts to app users while maintaining slick, professional websites. This means that app users benefit, but those who would rather shop via a traditional website can do so.

Customer reviews are another influential measure. Reviews have become increasingly important and more than 90% of consumers will now check online reviews before contacting a business or buying products. Positive app reviews encourage other users to download and enjoy the app while negative reviews can have the opposite effect.

The number of apps available from the App Store fell sharply in Q3 2022. Apple has removed old, dated apps to improve customer experience, but there could also be early indicators that buyers are spending less on games and other store purchases.

(Disclaimer: Devdiscourse's journalists were not involved in the production of this article. The facts and opinions appearing in the article do not reflect the views of Devdiscourse and Devdiscourse does not claim any responsibility for the same.)